Exchange with Nathalie Moullé-Berteaux, associate lawyer at Herald Business Law Firm and specialist in the fight against counterfeiting.
Can you tell us a bit about your background?
I began my career in 1987 with the creation of the LVMH group, where I specialized in intellectual property law. For 23 years, I worked with the group on their external growth and then went on to become the Executive Director of Public Affairs and Legal Affairs at Lacoste. I later joined the Paris Bar Association, where I have been working for the past 10 years, collaborating with top luxury industry professionals to protect their brands, copyrights, and other intellectual property rights.
Why are luxury brands particularly vulnerable to counterfeiting?
Luxury brands have a unique vulnerability to counterfeiting due to their strong and influential reputation built on their history. By emphasizing excellence and quality, they create a sense of rarity and desire among consumers. Counterfeiters, driven by quick profits, often replicate the appearance of these products without any consideration for quality. This ultimately harms consumers and creates a mechanism of plundering.
Has counterfeiting become more prevalent in recent years?
Unfortunately, counterfeiting has become more prevalent in recent years. The years 1995-2000 witnessed a significant increase in global commercial exchanges, facilitated by the internet and major e-commerce players. Counterfeit trade greatly benefited from this, adapting to the new digital landscape and taking advantage of online marketplaces.
What are the main issues faced by luxury brands in the fight against counterfeiting?
For luxury brands, the main challenge is combating the unauthorized use of their registered trademarks and preventing the trivialization of their original creations through counterfeit models or copyrights.
What new measures have been taken to address this?
In 2003, luxury brands decided to take legal action against not only counterfeit sellers but also intermediaries who facilitate this illegal trade. For example, in New York, legal proceedings were initiated against the owners of buildings on Canal Street, which were known for housing sellers of luxury counterfeit products. This approach led to injunctions and agreements, with building owners committing to combat any illegal trade along with luxury brands. This not only helped to tackle counterfeiting but also contributed to the revitalization of buildings and neighborhoods. Similar initiatives have been launched in various countries, such as Brazil, France, and China.
How has the luxury industry been at the forefront of the fight against counterfeiting?
The luxury industry in France has been at the forefront of the fight against counterfeiting. Through organizations like the Comité Colbert, luxury brands have raised awareness among French authorities about the impact of counterfeiting. In 2009, a dialogue process was initiated between brands and internet actors, leading to the signing of a charter under the guidance of Christine Lagarde, the Minister of Economy, Finance, and Industry. This pioneering initiative aimed at defending the French luxury industry and curbing the spread of online counterfeiting to other sectors. Subsequent charters were signed for the European Union in 2011 and 2016.
Will 2022 bring further advancements in the fight against counterfeiting?
Yes, 2022 will bring more concrete formalization of the anti-counterfeiting journey. The Digital Services Act, a European regulation aiming to regulate the activities of platforms like the GAFAM (Google, Apple, Facebook, Amazon, Microsoft), was passed on October 19, 2022. This regulation will come into effect from August 25, 2023, for major platforms, including social networks and search engines. It will impose more binding obligations on reporting and removing illicit content, aligning offline and online legality.
What are the new perspectives in the fight against counterfeiting?
Exporting best practices, transforming conflicts into constructive dialogues, and formalizing them through charters and legal rules are crucial in the fight against counterfeiting. Paris, as a legal hub, has the legitimacy to accompany the digital revolution, just as it did 140 years ago during the industrial revolution through an international convention signed by 179 countries. It is also important for luxury brands to remain vigilant and take a preventive stance, anticipating counterfeiting issues arising from digital developments and engaging in dialogues with new actors such as online auction houses.
Useful Links:
1. World Intellectual Property Organization – Geographical Indications
2. Online Sellers Insurance – How to Protect Yourself from Counterfeit Products in E-commerce
